The Indonesian pesticides market is estimated to grow at a CAGR of 9.2% in the 2017-2022 forecast period. In Indonesia, the agrochemicals industry has been witnessing a relatively steady to high growth, which has been primarily attributed to advancements in the pesticides and fertilizer industry.
Indonesia Agrochemicals Market
By embracing the modern practices in the fields, use of agrochemicals have seen tremendous growth particularly for pesticides and fertilizer consumption. In Indonesia, the market for agrochemicals including pesticides has been witnessing unprecedented changes during the last decade or so. One of the main reasons is the enhanced efficiency in utilization of pesticides due to significant advancements in pest management procedures and technology. Increased demand due to high population growth, growing domestic demand for food safety and quality, need for increased land productivity, and adoption of new farming practices are identified as the major drivers in the agrochemicals market. The country possesses high growth opportunity for agrochemicals and pesticides industry as the per capita consumption of crop inputs products is still not at optimum level. However, environment and regulatory constraints and high research and development costs are restraining the growth of the industry.
Indonesia Agrochemicals Market Segmentation
The Indonesian agrochemicals market is segmented in detail as per various types of pesticide, fertilizer, adjuvants and PGR. In product segment, nitrogenous fertilizers form the largest share of fertilizer market. By product type, the pesticides market of Indonesia is segmented into herbicides, insecticides, fungicides and other pesticides. From the perspective of product category, the most utilized products were herbicides (40%). The market is further segmented application wise as crop-based such as cereals, grains, oilseeds, and vegetables and non-crop-based applications. Staple food crops like wheat, rice, maize and cash crops like cotton, soybean consume the majority of agrochemicals in the country.
Key Players in the Indonesian Agrochemicals Market
The market in Indonesia is highly dominated by the foreign players. The analysis of major companies in the agrochemicals industry has been taken into account as per the strategy adopted, financial revenues and the latest developments in the market. Some of the leading players covered include BASF SE, Bayer CropScience, Dow AgroSciences, Monsanto and Syngenta, among others. Some of the local players mentioned are Rotam Manunggal Perkasa. CV, PT EKA DWI SELO UNGGUL etc. Companies here need to focus and strengthen their supply chain strategies to improve distribution and reach in the country.